Eletrobras, Latin America’s largest utility company based in Brazil, has signed a memorandum of understanding with infrastructure firm Prumo to explore the production of green hydrogen at a port in Rio de Janeiro. This collaboration could potentially lead to the development of a pilot plant.
The memorandum, signed on Wednesday during an event in Rio, also opens the door for studies on large-scale green hydrogen projects by the two companies.
Under the agreement, Eletrobras will supply hydroelectric power to companies seeking to establish low-carbon hydrogen projects at Rio’s Port of Acu, which is operated by Prumo. Prumo is controlled by EIG Global Energy Partners and Abu Dhabi’s Mubadala Investment Company.
As an initial step, Eletrobras and Prumo plan to evaluate the feasibility of a green hydrogen pilot plant with a capacity of up to 10 megawatts (MW).
“Eletrobras is starting to play a strong role in the hydrogen economy… We want to develop demand, help customers make competitive hydrogen production viable,” stated Italo Freitas, Eletrobras’ vice president of commercialisation.
Eletrobras has been actively pursuing several deals in the hydrogen sector this year. Last month, the company finalized a partnership with Green Energy Park to supply energy to a future hydrogen project in the northeastern state of Piaui.
This new deal with Prumo aligns with the infrastructure company’s vision of positioning Port of Acu as a hub for energy transition solutions. A representative from Prumo explained that the strategy is to have renewable energy production and the industries that utilize it located at the port, which would reduce costs associated with transportation, storage, and other factors, while also minimizing carbon emissions.
Among the companies exploring the possibility of setting up operations at Acu is mining giant Vale, which is studying the construction of an industrial complex to produce low-carbon iron ore products.